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This chapter reflects the arisen topic of 'integrated product policy' (IPP) and discusses challenges in influencing micro-economic decisions through policy. It reports on the slow shift of environmental policy towards products. The chapter provides an overview of political reactions, which can be subdivided into a ‘traditional’ path and a new path (IPP). It examines the possibilities for different policy regimes. The chapter discusses that IPP is a new way of thinking, co-operating and acting in a strategic and anticipatory pattern using (product) innovation as a transmission mechanism for market transformations, and thus provides the importance of governance. The role of IPP is limited to using the innovation processes of business as transmission mechanisms for environmental reorientation and restructuring in such a way that innovations are not just benign but also environmentally oriented and able to transform markets.
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